National Bank Sells $32,800.000

The National Bank of Georgia (NBG) announced it had sold USD 32,800.000 at the Foreign Exchange Auction due to the devaluation of the national currency, Lari. 

“On August 1, 2019, NBG offered onthe Foreign Exchange Auction USD 40 Mln. USD 32 800 000 was sold during that auction. The average weighted rate was 2.9283,” reads the NBG statement released yesterday.

It went on to state that external tourist shocks and negative expectations raised in society had caused the devaluation of the national currency, putting the stability of prices at serious risk and leading the NBG to consider it necessary to use its instruments so the materialization of said risk is avoided. 

"To complete that goal, tomorrow, on August 1, the National Bank will sell 40 million US Dollars at auction. If necessary, the National Bank of Georgia will continue intervention in the following days. If the  exchange rate pressures have persevering effects on inflation, the National Bank will also toughen the monetary policy,” said the statement.

Related Story: The National Bank of Georgia Releases a Statement

By Ana Dumbadze